This site, like many others, uses small files called cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on this website (Cookie Policy). However, if you would like to, you can change your cookie settings at any time.

Talbot sale tag 'overpriced'

The £200m price tag placed on Lloyd's managing agent Talbot, has been branded as overpriced by some industry figures as speculation over potential bidders intensifies.

As reported by Insurance Times (News, 8 February), Talbot has been put up for sale by its private-equity owners, which include Olympus Partners and Reservoir Capital Group.

But the estimated selling price is understood to be well above what is regarded as its actual market value.

An industry source told Insurance Times: "£200m looks a bit rich. They had a net worth of $68m at the end of 2005 and even guessing generously about 2006 profits, I am coming up with a value well short."

Talbot and its owners have reportedly hired investment bank Lexicon Partners to carry out a strategic review of the business after a number of approaches.

It has sparked increased speculation about who the likely bidders will be with interest expected to come from Bermuda, the US and Lloyd's.